E E I | E L E C T R I C V E H I C L E T R E N D S & K E Y I S S U E S

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C U S T O M E R S O L U T I O N SElectric Transportation

Sources: InsideEVs.com and HybridCars.com

Electric Vehicle Trends & Key Issues September 2018

3 K E Y F A C T S

¡ In 2017, EVs used an esti-mated 251 kilowatt-hours (kWh) of electricity per month.

¡ In 2017, the electricity consumed by EVs was roughly equivalent to the electricity consumed by 175,000 homes.

¡ The electricity used to charge three EVs is nearly equiva-lent to the electricity used to power one household.

3 K E Y F A C T S

¡ About 920,000 EVs are on the road in the U.S. (through July 2018).

¡ Overall, 2018 sales are up 48% compared to 2017.

¡ As of July 2018, more than $1 billion of electric company investments in transportation electrification have been approved.

E L E C T R I C V E H I C L E S O N T H E R O A D

T R E N D S

920,000 EVs Are on the Road in the U.S.

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Sources: U.S. Energy Information Administration, Electric Sales, Revenue, and Aver-age Price; Argonne National Lab, Impacts of Electrification of Light-Duty Vehicles in the United States (2010-2017).

Monthly Electricity Consumed: EV and Average Household (2017)

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2 | E E I | E L E C T R I C V E H I C L E T R E N D S & K E Y I S S U E S

S T A T E R E G U L A T I O N

P Approval On June 27, 2018, the Public Utilities Commis-sion of Nevada issued a final order that sets aside $15 million for NV Energy’s Electric Vehicle Infrastructure Demonstration (EVID) program. The approved plan for 2018-2019 totals approxi-mately $4.5 million and includes forecasted incentives for a custom EV grant program; EV charging at multi-family dwellings, workplaces, and fleets; and incentives for Level 2 and DC fast charging in support of the Nevada Elec-tric Highway initiative. (Docket 18-02002)

¡ Proposal On June 26, 2018, Southern California Edison (SCE) filed a $760 million proposal with the California Public Utilities Commission to deploy 48,000 charging ports at workplaces, multi-family dwellings, and other public loca-tions through a combination of rebates and infrastructure investment over four years. The Charge Ready 2 program builds upon SCE’s Charge Ready pilot that has been underway since 2016 and is designed to meet about one-third of the needed charging infrastructure in SCE’s territory by 2023 to support EV adop-tion. With the approval of the second phase of Charge Ready, SCE also plans to launch a marketing and customer education campaign to increase EV awareness. (Docket 18-06-015)

P Approval On May 31, 2018, the California Public Utilities Commission approved $768 million in trans-portation electrification proposals from Pacific Gas & Electric (PG&E), San Diego Gas & Elec-tric (SDG&E), and Southern California Edison (SCE). PG&E’s and SCE’s proposals will provide make-ready installations for 15,000 medium- and heavy-duty vehicles. PG&E’s proposal also includes support for more than 230 public DC fast charging sites, while SCE’s includes three new commercial rates for EV charging. SDG&E’s proposal is to install charging ports at residential locations. (Docket 17-01-020; more detail: CPUC)

¡ Proposal Consumers Energy and DTE Energy both filed EV programs as part of their general rate reviews before the Michigan Public Service Commission (MPSC). Both Consumers Energy’s $7.5 million proposal, filed in May, and DTE Energy’s $13.1 million proposal, filed in July, provide rebates for residential charging ports; Level 2 charging stations at workplaces, multi-family dwellings, and public locations; and public DC fast charging. The proposals also include requests to support increased consumer education and awareness. The proposals followed more than a year of stakeholder engagement and two MPSC technical conferences. (Docket U-20134 for Consumers Energy; Docket U-20162 for DTE Energy)

S T A T E P O L I C Y

¡ On June 19, 2018, Colorado Governor John Hick-enlooper signed an executive order that directs the state to adopt the California Low Emission Vehicle (LEV) program that sets standards for greenhouse gas and criteria pollutant emis-sions from light-duty vehicles. Colorado joins 12 other states that already have adopted the LEV program, and leaves open the future possibility for Colorado to adopt a program that requires the sales of Zero Emission Vehicles (ZEVs) in the state. (More detail: State of Colorado)

California Public Utilities Commission approves $768

million in transportation electrification proposals.

P O L I C Y U P D AT E

E E I | E L E C T R I C V E H I C L E T R E N D S & K E Y I S S U E S | 3

S I T E H O S T S T A T I O N I N T E R O P E R A B I L I T Y : W H A T I T M E A N S A N D W H Y I T ’ S I M P O R T A N T

The term “interoperability” has many different meanings in the EV context, from the physical connectors used to plug in an EV, to the payment systems accepted by an EV charging station. “Site host station interoperability” refers to how the charging station communicates with the back-end network that manages the charging stations. Here’s what it means, and why it’s important.

¡ Networked EV charging stations communi-cate with a back-end computer system to collect data and manage the operation of the charging station. EV charging suppliers may offer charging equipment or back-end network management services, or both. Site host station interoperability means that charging station equipment from different suppliers can communicate with different back-end network systems.

¡ A site host that operates charging stations— whether a commercial property owner, an electric company, or some other entity—should have choices when selecting charging equipment and services. Site host station interoperability ensures the site host can change equipment suppliers while keeping the same back-end network, or vice versa. It ensures new charging equipment will work when added to an existing back-end network.

¡ Site host station interoperability provides flexibility for site hosts and reduces invest-ment risk. Electric companies or public entities investing in EV charging stations should encourage site host station interop-erability to protect the interests of their customers and the efficient, competitive development of the EV charging market.

O U R TA K E

F E D E R A L R E G U L A T I O N A N D P O L I C Y

¡ Vehicle Standards On August 2, 2018, the U.S. Department of Trans-portation and U.S. Environmental Protection Agency proposed a rulemaking to revise greenhouse gas and fuel economy standards. The agencies’ preferred alternative would freeze standards at the model year 2020 level of 37 miles per gallon (mpg) through model year 2026, instead of the year-over-year increases to the estimated 51 mpg set by the previous admin-istration. The rulemaking also proposes withdrawing California’s already granted Clean Air Act waiver that allows it to set its own state standards, setting the stage for a likely legal battle between the state and federal government. (More detail: EPA/NHTSA)

¡ Federal Tax Credit Tesla has surpassed the per-manufacturer cap of 200,000 qualifying vehicles for the up to $7,500 federal EV tax credit. According to Tesla's reported phase-out schedule, the credit reduces to $3,750 for Tesla vehicles starting in January 2019, then to $1,875 in July 2019, and fully expires in January 2020. General Motors is close behind with about 187,000 EVs sold. Representative Peter Welch has proposed legislation that would replace the cap with a sunset period, and similar legislation is expected in the Senate. The prospect for these bills moving forward is unclear. (More detail: Congressman Peter Welch)

P O L I C Y U P D AT E

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Sources: InsideEVs.com and HybridCars.com

Edison Electric Institute701 Pennsylvania Avenue, NWWashington, DC 20004-2696202-508-5000 | www.eei.org September 2018

D R I V I N G TH E M A R K E T: M E M B E R S P OTLI G HT O N H O M E C H A RG I N G S O LUTI O N S

One of the conveniences of driving an EV is the ability to “refuel” at home. Most EVs are sold with a Level 1 charging cord that plugs into any standard 120-volt outlet. For many drivers, this is sufficient, delivering two to five miles of range per hour—plenty for the average commute. EV drivers also can opt to install Level 2 (240-volt) charging that delivers 10 to 20 miles of range per hour—accommodating longer commutes and providing flexibility to charge at different times of the day. However, Level 2 charging equipment and installation can be expensive. As illustrated below, electric companies are providing solutions that make it easy and affordable to install Level 2 charging at home, improving the EV customer experience while creating an opportunity to manage EV charging in a way that benefits the energy grid.

A L A S K A E L E C T R I C L I G H T A N D P O W E R – S C H E D U L E 9 3 A N D 9 4

Alaska Electric Light and Power (AELP) provides an easy way for EV customers to avoid the upfront cost of an EV charging station and pay for it on their electric bill. Under Schedule 94, customers pay $10.13 per month on their electric bill for a home EV charging station that AELP owns and maintains. The home charging station includes an integrated dedicated

meter; the customer simply needs to provide as 240-volt circuit and outlet, plug the charging station into the outlet, and hang the equipment on the wall. Electricity usage for the charging station is billed to Schedule 93, a time-of-use (TOU) rate that allows customers to avoid paying capacity costs when charging between 10 PM and 5 AM. Schedule 93 also is available separately to customers who wish to provide their own charging station and install a separate meter for EV charging. (More detail: www.aelp.com/Energy-Conservation/Electric-Vehicles)

G R E E N M O U N T A I N P O W E R – I N - H O M E L E V E L 2 E V C H A R G E R

Green Mountain Power (GMP) offers a free Level 2 charger for customers buying a new EV. Customers who already have an EV can get a charger for $9.99 per month on their energy bill. These chargers are integrated with GMP’s energy management platform and are dispatched during peak demand times to drive down costs for all customers. Customers who get a charger also can choose a flat rate for all their home charging, too. The “$29.99 EV Unlimited Plan” is a monthly fee that covers all the EV charging customers want, as long

as it’s not during a GMP-scheduled peak event. Customers do not need to take any action themselves as the GMP energy platform handles all of the peak dispatching in a simple, convenient way. Customers can opt out of a peak event and continue charging, but at a higher rate of $0.60 per kWh. The smart chargers can charge an EV fully in just a few hours and are Wi-Fi connected to allow GMP to manage the charging during these peak events. (More detail: https://greenmountainpower.com/product/home-level-2-ev-charger)

M A D I S O N G A S & E L E C T R I C – C H A R G E @ H O M E P I L O T

Madison Gas & Electric (MGE) will install, operate, and maintain a Level 2 charging station in the homes of residential customers who opt in to the company’s Charge Charge@Home pilot program. Instead of purchasing Level 2 charging equipment and paying for installa-tion costs, participating customers pay a monthly fee of about $20 over a five-year service contract, plus the cost of electricity. MGE makes installation easy by contracting an electri-

cian to perform the installation. The “smart” home charging equipment connects to the customer’s Wi-Fi, allowing MGE to communicate with and manage—with the customer’s consent—the charging sessions to study the impact to the energy grid. Customers also can sign up for a whole-house time-of-use (TOU) rate that provides a discounted rate for off-peak electricity use. (More detail: www.mge.com/environment/electric-vehicles/charge-at-home)